Morning News Call - India, February 9

8 Min Read

To access the newsletter, click on the link:
here
If you would like to receive this newsletter via email, please register at: here
FACTORS TO WATCH
8:00 am: Glenmark Pharmaceuticals post-earnings analyst conference call in
Mumbai.
10:00 am: Trade Minister Suresh Prabhu, FSSAI Chairperson Ashish Bahuguna
and Food Processing Industries Ministry J.P. Meena at FoodWorld India in New
Delhi.
10:00 am: Petronet LNG post-earnings analyst conference call in Mumbai.
11:00 am: President Ram Nath Kovind and Farm Minister Radha Mohan Singh at
Convocation Programme of Indian Agricultural Research Institute in New Delhi.
11:00 am: Power Minister R. K. Singh at launch of app for management of fly
ash in New Delhi.
12:00 pm: Niti Aayog to release report on ‘Healthy States, Progressive
India’ New Delhi.
12:00 pm: Adlabs Entertainment post-earnings analyst conference call in
Mumbai.
12:00 pm: Balrampur Chini Mills post-earnings analyst conference call in
Mumbai.
2:30 pm: Tata Communications post-earnings analyst conference call in
Mumbai.
3:00 pm: Deep Industries post-earnings analyst conference call in Mumbai.
3:30 pm: Parag Milk Foods post-earnings analyst conference call in Mumbai.
4:00 pm: Alkem Laboratories post-earnings analyst conference call in Mumbai.
5:00 pm: RBI to release weekly foreign exchange data in Mumbai.
5:45 pm: State Bank of India post-earnings conference call in Mumbai.
6:00 pm: Tata Steel post-earnings analyst conference call in Mumbai.
6:00 pm: Mahindra & Mahindra post-earnings analyst conference call in
Mumbai.
LIVECHAT-G7 FX CHARTING
Wilson Leung, chief market strategist at Trendsetter, joins us to discuss
technical chart for G7 currencies at 0930 IST. To join the conversation, click
on the link: here
INDIA TOP NEWS
•Indian banks set to raise lending rates, pre-empting RBI
India's struggling economy is facing a new challenge: banks are raising
interest rates even though the central bank is leaving its rates unchanged, as
risks such as surging bond yields and more provisioning requirements erode their
profit.
•ACC posts 126 percent surge in Q4 profit
Cement maker ACC said on Thursday its fourth-quarter profit more than
doubled from a year earlier and beat analysts' expectations.
•Steel Authority of India swings to profit in Dec quarter
Steel Authority of India posted a profit for the three months ended December
on Thursday, snapping ten straight quarters of losses.
•India's antitrust watchdog fines Google for abusing dominant position
India's antitrust watchdog on Thursday imposed a 1.36 billion rupees fine on
Google for "search bias" and abuse of its dominant position, in the latest
regulatory setback for the world's most popular internet search engine.
•BHEL Q3 profit rises, but lags expectations
Indian power plant equipment maker Bharat Heavy Electricals posted a nearly
64 percent rise in third-quarter net profit, but missed analysts' expectations.
•Honda aims to double market share in India
Japanese carmaker Honda Motor plans to double its market share in India
within the next few years, the head of its local unit told Reuters, as it looks
to boost its presence in the world's fifth-largest car market.
•India plans to raise refining capacity by 77 percent by 2030 -govt report
Refiners in India, the world's third-biggest oil consumer and importer, have
drawn up plans to raise their capacity by 77 percent to about 8.8 million
barrels per day by 2030 to meet the country's rising fuel demand.
•Cummins to use India to develop, test electric powertrains for emerging
markets
U.S.-based engine maker Cummins plans to hire a team of engineers in India
to modify its existing electric powertrain technology and make it more relevant
for emerging markets, a senior company executive told Reuters on Thursday.
GLOBAL TOP NEWS
•Trump administration may target immigrants who use food aid, other benefits
The Trump administration is considering making it harder for foreigners
living in the United States to get permanent residency if they or their
American-born children use public benefits such as food assistance, in a move
that could sharply restrict legal immigration.
•China January inflation eases even as global price anxiety grows
China's producer and consumer inflation eased as expected in January, even
as global stock markets nosedive on fears that price pressures are slowly
building in the United States and Europe.
•Fiscal hawk Paul delays U.S. Senate vote on budget deal
Republican Rand Paul, a fiscal conservative, single-handedly delayed U.S.
Senate action on Thursday on a two-year budget deal meant to avert another
government shutdown, objecting to $300 billion in new deficit spending included
in the measure.
LOCAL MARKETS OUTLOOK
(As reported by NewsRise)
•The SGX Nifty Futures were trading at 10,316.00, trading down 2.32 percent
from its previous close.
•The Indian rupee will likely open lower against the dollar, as risk
appetite soured amid an equity rout after better-than-expected U.S. economic
data lifted yields and boosted greenback demand.
•Indian sovereign bonds are likely to open higher as crude oil prices
continue to fall, easing concerns about inflation. The yield on the 7.17 percent
bond maturing in 2028 is likely to trade in a 7.43 percent-7.49 percent band
till the auction result.
GLOBAL MARKETS
• U.S. stocks plunged around 4 percent on Thursday in another dramatic
session, confirming a correction that has thrown the market's nearly nine-year
bull run off course.
• Asian stocks tumbled to two-month lows after Wall Street shares suffered
yet another big slide in the face of rapidly-rising bond yields, with perceived
havens such as the yen and Swiss franc in demand amid the turmoil.
• The yen neared a four-month high against the dollar as global stock
markets plunged again, triggering a rush into traditional safe-haven currencies.
• U.S. Treasury yields rose on Thursday in choppy trading as stocks pared
some of their earlier weakness and after the Bank of England said interest rates
probably need to rise sooner, adding to expectations of reduced central bank
stimulus globally.
• Oil prices fell for a sixth day after Iran announced plans to boost
production and U.S. crude output hit record highs, adding to concerns about a
sharp rise in global supplies.
• Gold prices edged up, recovering from more than one-month lows as tumbling
equities markets pushed investors into safe-haven assets, but a firmer dollar
and worries about rising global interest rates kept gains in check.
CLOSE FII INVESTMENTS EQUITIES DEBT
PNDF spot 64.29/64.32 February 8 -$357.29 mln -$54.93 mln
10-yr bond yield 7.57 pct Month-to-date -$208.07 mln $604.21 mln
Year-to-date $1.83 bln $2.07 bln
For additional data:
India govt bond market volumes
Stock market reports
Non-deliverable forwards data
Corporate debt stories [IN CORPD]
Local market closing/intraday levels [IN SNAPSHOT]
Monthly inflows [INFLOWS RTRS TABLE IN]
($1 = 64.2900 Indian rupees)
(Compiled by Yoganand KN in Bengaluru)